November 23, 2014
LAS VEGAS (AP) - Nevada gambling regulators have signed off on a half-million-dollar fine for the Mandalay Bay resort amid accusations that employees at an upscale lounge there provided prostitutes and drugs to undercover officers.
The Nevada Gaming Commission approved the settlement Thursday. The company will also pay $17,000 to cover the cost of the investigation.
Authorities say undercover officers bought cocaine from a host at the House of Blues Foundation Room in June 2012. Officials say employees also connected officers with four prostitutes, cocaine, and a private room for sex during a visit in July, and helped an officer get Ecstasy in August.
Officials with Mandalay Bay parent company MGM Resorts say the employees involved in the activities have been fired and the lounge has increased its training procedures to prevent future misconduct.